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HomeMy WebLinkAboutR-2023-074 Waterfield Florida Staffing dba Action Labor of Florida Agreement for School Crossing Guard Staffing Services (Piggyback with Tamarac)RESOLUTION NO.2023- A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF DANIA BEACH, FLORIDA, AUTHORIZING THE PROPER CITY OFFICIALS TO EXECUTE THE SECOND RENEWAL TERM THROUGH OCTOBER 30, 2025, WITH WATERFIELD FLORIDA STAFFING, LLC, DB/A ACTION LABOR OF FLORIDA, LLC, UNDER THE CITY OF TAMARAC REQUEST FOR PROPOSAL ("RFP") NO. 19-23R TO PROVIDE SCHOOL CROSSING GUARD STAFFING SERVICES, PROVIDING FOR CONFLICTS; FURTHER, PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the Charter of the City of Dania Beach, Part III, Article 3, Section 4, Subsection 0), authorizes the City Manager to purchase supplies, services, equipment, and materials for the City government in amounts in excess of the established monetary threshold without competitive bidding and school crossing guard services without advertisement for bids if the city manager is authorized to do so in advance by a resolution adopted by the City Commission; and WHEREAS, the Dania Beach Code of Ordinances, Chapter 2, Article 1, Section 2-10, "Monetary thresholds for certain purchases and payment disbursement authorizations", Subsection (a), set the monetary threshold or limitation at Fifty Thousand Dollars ($50,000.00); and WHEREAS, the City Charter provides that competitive bids and advertisements for bids are not required if a purchase is made pursuant to a competitive bid obtained within the last eighteen (18) months by other governmental agencies such as the federal government, State of Florida or a Florida municipality or county (and the provision has been construed to apply to a bid which was so obtained and may have been extended by the vendor, supplier, contractor or other similar person with any such governmental entity, subject to the same conditions as the original bid), provided that any such purchase which exceeds a monetary threshold as established by the City Commission by ordinance requires a four -fifths ( 4/5 ) vote of the City Commission; and WHEREAS, the current school crossing guard services Agreement was awarded by the Tamarac City Commission via resolution #R-2019-62 at its July 10, 2019, meeting, which also granted the authority to administratively approve and accept renewal options and escalation requests pursuant to the requirements of the Agreement; and WHEREAS, the award was based on the results of Request for Proposal #19-23R, which was issued by the City of Tamarac as the lead agency on behalf of the Southeast Florida Governmental Purchasing Cooperative for the City of Tamarac, the City of Coral Springs, the City of North Lauderdale, and the City of Sunrise; and WHEREAS, on November 13, 2018, the City Commission of the City of Dania Beach approved piggy -backing off of the Tamarac agreement via Resolution 2019-080 in order to utilize Waterfield Florida Staffing, LLC. d/b/a Action Labor of Florida, LLC (f/k/a Staffing Connections of Ft. Lauderdale) for school crossing guard staffing services; and WHEREAS, on July 13, 2021, the first of two (2), two (2) year renewal options was approved by the City Commission via Resolution 2021-107; and WHEREAS, the first extension of the Agreement will expire on August 31, 2023; and WHEREAS, the City of Tamarac has exercised the second two (2) year renewal option which will be effective September 1, 2023, through August 30, 2025. WHEREAS, the City Administration has determined that the City should continue school crossing guard services under the second two (2) year renewal option; and WHEREAS, the City's new contract rate will be sixteen dollars and fifty-six cents ($16.56), including markup and compliance with the new state law increasing the minimum wage, with an estimated annual cost of one hundred thirty-five thousand dollars, ($135,000.00), during the normal school year, which includes summer school, with the rate increase; and WHEREAS, the contractual hourly rate will continue to increase each by one dollar until the per the mandated minimum wage of fifteen dollars per hour is reached on September 30, 2026. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF DANIA BEACH, FLORIDA: Section 1. That the foregoing recitals are true and they are incorporated into this Resolution by this reference. Section 2. That the City Commission of the City of Dania Beach authorizes the proper City Officials to enter into the second renewal term of the Agreement through August 30, 2025, with Waterfield Florida Staffing, LLC, d/b/a Action Labor of Florida, LLC, for school crossing guard staffing services, a copy of which Agreement is attached as Exhibit "A" and made a part of and incorporated into this Resolution by this reference. 2 RESOLUTION#2023- 0-14 Section 4. That the contracted billing rate, per hour, for Waterfield Florida Staffing, LLC, d/b/a Action Labor of Florida, LLC, including compliance with the State's changes to the minimum wage law, and all markups shall exceed the annual vendor threshold of Fifty Thousand Dollars ($50,000.00) for each year of the two-year extension. Section 5. That funding for the school crossing guard staffing services is planned and appropriated annually in the General Fund Contractual Services Account, Account No. 001-21- 01-521-34-10 and such purchases are to be made within the respective departments approved annual budget appropriations. Section 6. That the City Manager and City Attorney are authorized to make minor revisions to such documents as are deemed necessary and proper and in the best interest of the City. Section 7. That all resolutions or parts of resolutions in conflict with this Resolution are repealed to the extent of such conflict. Section 8. That this Resolution shall be in force and take effect immediately upon its passage and adoption. PASSED AND ADOPTED on July 11, 2023. Motion by second by FINAL VOTE ON ADOPTION: Commissioner Joyce Davis Commissioner Tamara James Commissioner Marco Salvino WS Vice Mayor Lori Lewellen Mayor Archibald J. Ryan IV S SIGNATURES ON FOLLOWING PAGE 3 RESOLUTION #2023- 0-11 ATTEST: APPROVED AS TO FORM AND CORRECTNESS: 4 RESOLUTION #2023--0--I (4 CITY OF TAMARAC EXHIBIT 11A11 INTEROFFICE MEMORANDUM FINANCIAL SERVICES DEPARTMENT r��yrr ,:n�<R To: Levant Sucuoglu, City Manager Thru: Christine J. Cajuste, [� Director of Fin(��n/ciay�ervi s From: Keith K. Glatt{ Purchasing and Contracts Manager Date: June 12, 2023 Re: Request to Exercise Second Renewal Option for RFP #19.23R for School Crossing Guard Services — Agreement Amendment #4 Recommendation: Please approve the attached renewal option exercising the second two (2) year renewal option of the current Agreement for School Crossing Guard Services and adjusting the minimum wage multiplier and furthermore requesting the execution of Agreement Amendment #4 with Waterfield Florida Staffing, LLC, a/k/a Action Labor of Florida, LLC on behalf of the City of Tamarac, and members of the Southeast Florida Governmental Purchasing Cooperative, including the City of Coral Springs, the City of North Lauderdale and the City of Sunrise. Issue: The City's existing Agreement to provide School Crossing Guard Services expires on August 31, 2023. The City is the lead agency for the Southeast Florida Governmental Purchasing Cooperative for this Agreement, which also includes the cities of Coral Springs, North Lauderdale and Sunrise. There is currently one (1) remaining two (2) year renewal option remaining on the Agreement, and based on satisfactory performance by the contractor, Waterfield Staffing, LLC d/b/a Action Labor of Florida, LLC the City wishes to exercise the second two (2) year renewal option effective September 1, 2023. Additionally, it is requested that the rate be adjusted due to a changes to the Florida Minimum Wage effective September, 30, 2023, and September 30, 2024, as well as to account for additional cost increases Backaround: The City currently has approximately 27 school crossing guard posts around the City. The City's current contractor is Waterfield Florida Staffing, LLC a/k/a Staffing Connections, who has provided very satisfactory service to the City. The current Agreement was awarded by the City Commission via resolution #R-2019-62 at Its July 10, 2019 meeting, which also granted the authority to administratively approve and accept renewal options and escalation requests pursuant to the requirements of the Agreement. The award was based on the results of Request for Proposal #19-23R which was issued by the City as the lead agency on behalf of the Southeast Florida Governmental Purchasing Cooperative for the City of Tamarac, the City of Coral Springs, the City of Dania Beach, the City of North Lauderdale and the City of Sunrise. Pursuant to the passage of a Constitutional ballot initiative approved by Florida voters on November 3, 2020, which amends the Florida Minimum Wage by One Dollar ($1.00) per hour every September 30�h, until it reaches $15.00 per hour in 2026. Based on that mandate, the Florida Minimum wage moved to $10.00 in 2021, $11.00 in 2022, and will adjust to $12.00 on September 301h of this year, and $13.00 on September 30, 2024. The Contractor has applied a consistent mark-up rate to the Florida Minimum Wage of 1.35376 since the original contract effective date back in 2019. This mark-up rate factors in Workers Compensation insurance, FICA, FUTA and SUTA (Federal and State Unemployment contributions), operating expenses and profit. As a result, the Florida minimum wage adjusted for the mark-up during the first renewal period was as follows: Rate as of 9/30/2021: $10.00 minimum wage per hour x 1.35376 mark-up = $13.54 9/30/21 billing rate. Rate as of 9/30/2022 (current through September 29, 2023): $11.00 minimum wage per hour x 1.35376 mark-up = $14.89 9/30/22 billing rate. Levent Sucuoglu Page 2 Section 6 "Cost Adjustments" of the Contractor's Agreement provides that costs may be adjusted on the anniversary date based on changes to the Consumer Price Index (United States All Consumers). The most recent information from the Bureau of Labor Statistics Indicates that Consumer prices from April 2022 to April 2023 increased by 4.9%. The proposed mark-up for the multiplier will increase from 1.35376 to 1.38 effective September 13r. Based on that figure, the rates for 2023 and 2024 will be as follows: Rate effective 9/1/2023: $11.00 minimum wage per hour 1.38 mark-up= $15.18 billing rate. Rate effective 9/30/2023: $12.00 minimum wage per hour x 1.38 mark-up= $16.56 billing rate. Rate effective 9/30/2024: $13,00 minimum wage per hour x 1.38 mark-up= $17.94 billing rate. Accordingly, the requested increase in the multiplier will be 1.9197% higher, which is just under 2%. Current projects being bid in the local marketplace are being bid with mark-up rates falling between 1.40 and 1.42, so the 1.38 rate reflects a lower mark-up rate than other entities in the area. Additionally, the largest local Agreement with a competitor to our Contractor is at the City of Fort Lauderdale, with their current rate at $16.11 as compared to our current $14.89 rate. The Fort Lauderdale Agreement will also need to be amended once the Florida Minimum Wage increase goes into effect on September 301h. It should also be noted that the current profit margin for our Agreement remains fixed at the current level of 6.04%. Fiscal Impact: The contract was solicited based on a full 240 days of school, which includes a full summer school curriculum. Tamarac schools, however, do not always utilize the full 240 days authorized by the Broward School District, but normally use a 180 day schedule which is the plan for the remainder of FY 23. Our Agreement, however, needs to be structured to provide for at least a partial summer school schedule, since the Broward School District does not normally make a determination of which schools will hold summer classes until late in the school year. Accordingly, based on the 180 day schedule, it is anticipated that the cost for guards will be $211,421 for 180 days based on the new hourly rate of $16.56 for FY24. The main variable that could adversely impact this figure would be the addition of summer school days by the Broward County Public Schools. Our normal cost for summer school has been in the area of $13,458 per year, which would increase the required funding needed to approximately $203,101. The tentative budget for FY24 Police Services will be adjusted to reflect the upcoming increases. Funding for Crossing G rds is take ro Account 001-4120-521-3404. r _ Approved Not Approved Attachments May 91h, 2023 Keith Glatz Purchasing & Contracts Manager City of Tamarac 7525 NW 8811 Avenue Tamarac, FL 33321 RE: Exercising of Renewal Option, RFP919-23R Dear Keith: Please accept this letter as notice that our current agreement Is set to expire on August 3111, 2023. The agreement provides for one final (2) two-year renewal option. Our company remains focused on providing a low markup for crossing guard services for all the Cities on the contract. Current markup Is 1.35376 and we pay the crossing guards minimum wage. Florida minimum age is currently $11.00 per hour and our bill rate Is $14.89. The State of Florida has approved additional increases to minimum wage as follows: September 301h, 2023 minimum wage will Increase to $12.00 per hour and September 30`h, 2024 minimum wage will Increase to $13.00 perhour. We have kept the markup of 1.35376 In place since May 2019. Cost of doing business has increased in all categories for local businesses. Our expenses to recruit staff, equipment to outfit our CG according to state guidelines has increased. Rent and all necessary business expenses are Increased. The CPI-U is up 9%. We are requesting a 1.9197% cost adjustment. Less than a 2% Increase. The current markup 1.35376 will Increase by .02624. The new markup is 1.38. The new contract begins September V, 2023 shortly before the Florida minimum wage Increase. September 111, 2023 — September 301h, 2023 pay rate will be $11.00 with a 1.38 markup = $15.18 bill rate Effective September 3011, 2023 pay rate will be $12.00 with a markup of 1.38=$16.56 bill rate Effective September 30`h, 2024 pay rate will be $13.00 with a markup of 1.38 = $17,94 bill rate Our team takes great pride In knowing we have provided a top-notch school crossing guard program with 100% safety record. We look forward to continuing to provide these services and work with the great Cities and relationships attached to the contract. Sincerely, Sharron R. Cook. Branch Manager TAMARAC The City For Your Life City of Tamarac Purchasing Division AGREEMENT AMENDMENT # 4 BETWEEN THE CITY OF TAMARAC AND WATERFIELD FLORIDA STAFFING. LLC D/B/A ACTION LABOR The CITY OF TAMARAC (City) and Waterfield Florida Staffing, LLC, d/b/a Action Labor (Contractor), a Florida limited liability corporation, with principal offices located at 624 Nottingham Boulevard, West Palm Beach, FL 33045, agree to amend the original Agreement, which was effective September 1, 2019, as follows: 1. Amend Section 4, "Contract Term and Renewal" as follows: 4) Contract Term and Renewal The contract term shall be effective for the period beginning September 1, 2019, through August 31, 2025, 2023 with no one444 additional twe year renewal terms based All terms and conditions shall remain firm for the initial period of the contract and for any renewal period. Any price adjustment shall be per section 6 "Cost Adjustments" of this Agreement. 2. Amend Section 6, "Cost Adjustments" due to changes to the Florida Minimum Wage as the result of the passage of an amendment to the Florida Constitution passed in November 2020. an increase in the hourly rate in accordance with the provisions of Section 6 of the Agreement which provides for a price adjustment when necessitated by an adjustment to the Florida Minimum Wage, or an adjustment to the Federal Minimum Wage to a higher level than the Florida Minimum Wage. Changes in the Florida minimum wage shall be as outlined in Florida Statute 448.110. Accordingly, the billing rate will be adjusted: Effective September 30, 2023, the "Pricing Schedule for Crossing Guards" "Cost Per Hour' column is amended to reflect a change in the hourly billing rate from $14.89 per hour for "Line Items' 1 through 12 to read $16.56 per hour for "Line Items" 1 through 12 (based on a State of Florida Minimum Wage of $12.00 per hour). Effective September 30, 2024, the "Pricing Schedule for Crossing Guards" "Cost Per Hour" column is amended to reflect a change in the hourly billing rate from $16.56 per hour for "Line Items" 1 through 12 to read $17.94 per hour for "Line Items' 1 through 12 (based on a State of Florida Minimum Wage of $13.00 per hour). 3. Contractor re -affirms certification to the requirements of Section 22) "Scrutinized Companies — 287.135 AND 215.473", as required by Florida statute. 22) Scrutinized Companies - 287.135 AND 215.473 22.1 By execution of this Agreement, Contractor certifies that Contractor is not participating in a boycott of Israel. Contractor further certifies that Contractor is not on the Scrutinized Companies that Boycott Israel list, not TAMS. The City For Your Life City of Tamarac Purchasing Division on the Scrutinized Companies with Activities in Sudan List, and not on the Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, or has Contractor been engaged in business operations in Syria. Subject to limited exceptions provided in state law, the City will not contract for the provision of goods or services with any scrutinized company referred to above. 22.2 Submitting a false certification shall be deemed a material breach of contract. The City shall provide notice, in writing, to the Contractor of the City's determination concerning the false certification. Contractor shall have five (5) days from receipt of notice to refute the false certification allegation. If such false certification is discovered during the active contract term, Contractor shall have ninety (90) days following receipt of the notice to respond in writing and demonstrate that the determination of false certification was made in error. If Contractor does not demonstrate that the City's determination of false certification was made in error then the City shall have the right to terminate the contract and seek civil remedies pursuant to Section 287.135, Florida Statutes, as amended from time to time. 4. Contractor re -affirms certification to the requirements of Section 27) T-Verify", as required by Florida statute. 27) E-Veri City of Tamarac, a municipal corporation which is a political subdivision of the State of Florida. "Contractor" means a person or entity that has entered or is attempting to salary, wages, or other remuneration. employees. TAM.� The City For Your Life City of Tamarac Purchasing Division employment eligibility of: a) All persons employed by Contractor to perform employment duties within Florida during the term of the contract; and during the term of the contract is a condition of the contract with the City of Tamarac. REMAINDER OF PAGE INTENTIONALLY BLANK TAM.00%0-0� The City For Your Life City of Tamarac Purchasing Division CORPORATE ACKNOWLEDGEMENT STATE OF FLORIDA COUNTY OFQ ck; •SS I HEREBY CERTIFY that on this day, before me, an Officer duly authorized in the State aforesaid and in the County aforesaid to take acknowledgments, personally appeared Paul C. Chase, CEO of Waterfield Florida Staffing d/b/a Action Labor, a Florida limited liability Corporation, to me known to be the person(s) described in and who executed the foregoing instrument and acknowledged before me that he/she executed the same. WITNESS my hand and official seal this day of�.�C., 20Z3 :., i na ure of Notary Public y,. JU.St qA ' s `N` Notary public1c•State of Florida tate of Florida at Large ' �i Commission a GG 362996 My Comm. Expires Aug 6, 2023 landed through National Notary Assn. Print, Type or Stamp Name of Notary Public ® Personally known to me or ❑ Produced Identification Type of I.D. Produced ❑ DID take an oath, or ❑ DID NOT take an oath. TAMS. The City For Your Life City of Tamarac Purchasing Division IN WITNESS WHEREOF, the parties hereby have made and executed this Amendment to Agreement on the respective dates under each signature, the City of Tamarac signing through its City Manager, and Waterfield Florida Staffing, LLC D/B/A Action Labor, signing by and through its CEO, duly authorized to execute same. ,,,, r r r r r r r,,/ 4 OF TAM ''fir,, ATTEST: `. \X, q 49'�'; O; O W : ESTABLISHED. Q- T1 t 1963 : Q ,C" SEAL r0�; Q' .... C,O1G Kimberly Dillon, 8RG City Clerk ate t F ARAC .1 vent Sucuoglu, City M nager 6/16 /23 Date 6 /�,A?,Z and legal sufficiency: ATTEST: Waterfield Florida Staffing, LLC D/B/A Action Labor pany � eJ (Corporate Secretary) 'g ature of CEO � Ze.IPrtcy k�u Type/Print Name of Corporate Sec . (CORPORATE SEAL) Paul C. CEO (al(o IzoZ3 Date